- XRP has real utility, but it’s focused on fast, low-cost cross-border payments and liquidity bridging
- Most XRP usage today comes from traders, exchanges, and select payment providers, not universal bank adoption
- Banks often use Ripple’s infrastructure without directly using XRP, making adoption more limited than many assume
Few cryptocurrencies split opinion the way XRP does. On one side, critics across crypto and DeFi love to say XRP has no real utility, that it’s basically just a speculative token with a loud fanbase. On the other side, you’ve got the XRP Army, one of the most committed communities in the industry, convinced XRP will eventually sit at the center of global finance.
The reality is less dramatic than either camp wants to admit. XRP does have utility, and it’s real. But it’s also more specific, narrower, and more infrastructure-focused than people assume when they throw around phrases like “global takeover.”
XRP Was Built for One Job, and It’s Still Good at It
XRP is the native asset of the XRP Ledger, which launched in 2012 with a pretty clear purpose: fast, low-cost cross-border payments. That’s the core design. Unlike Bitcoin, which leans into decentralized value storage, or Ethereum, which dominates programmable smart contracts, XRP was built to move money between systems quickly and cheaply.
On the XRP Ledger, transactions settle in roughly three to five seconds and fees cost a fraction of a cent. That speed and cost structure makes XRP effective as a bridge currency. In simple terms, it can help convert between two different fiat currencies without requiring banks or payment companies to keep large reserves sitting in foreign accounts. It’s not flashy, but it’s useful.
Millions Hold XRP, But Real Usage Is Still Concentrated
Retail holders make up the largest group of XRP users today. As of early 2025, the XRP Ledger reportedly had around 6 to 7 million funded accounts, meaning wallets that actually hold XRP. Once you account for exchange custody and the fact that many users hold multiple wallets, analysts typically estimate that around 2 to 3 million individuals globally actually hold XRP.
Crypto exchanges are another major part of the picture. Platforms like Binance, Bitstamp, Kraken, and Uphold use XRP as a practical tool for moving liquidity. XRP’s speed and low fees make it efficient for transfers between exchanges, internal treasury management, and reducing friction when moving funds around. This isn’t the kind of “utility” people brag about on social media, but it’s still real-world usage.
Payment providers are where XRP’s purpose becomes more obvious. Companies such as SBI Remit in Japan and Tranglo in Southeast Asia have used XRP through Ripple’s On-Demand Liquidity system for cross-border remittances. In these setups, XRP acts as a temporary bridge asset. It’s used for seconds or minutes, not held long-term, and it helps avoid pre-funded foreign accounts. That’s basically the point.
Banks Use Ripple Tech, But Most Don’t Actually Use XRP
This is where the story gets complicated, and where both sides usually start arguing. Many major financial institutions have worked with Ripple’s payment infrastructure, including names like Santander, Standard Chartered, and Bank of America. But most of these relationships involve Ripple’s messaging and settlement software, not direct XRP usage.
In other words, Ripple technology is used more broadly than XRP itself. Only select partners — usually payment providers and remittance-focused companies — use XRP directly for liquidity. That doesn’t mean XRP is useless, but it does mean the “every bank will use XRP” narrative is overstated. At least for now.
XRP Still Has Utility Inside the XRP Ledger Itself
Beyond payments, XRP also plays a technical role inside its own network. Every XRP Ledger account must hold a small amount of XRP, and every transaction requires XRP to pay fees. XRP is also used for decentralized trading, token issuance, and asset transfers directly on the ledger.
So even outside the “bank adoption” debate, XRP is still the core fuel that makes the network function. It’s not optional. And that matters.
XRP Isn’t Useless, But It’s Not Universal Either
XRP sits in a weird middle ground. It isn’t a pointless token with zero use. But it also isn’t universally adopted by every bank on the planet. Its utility exists in specific infrastructure roles, especially around liquidity provisioning and cross-border settlement, and that’s where the strongest real-world case lives.
If you want to understand XRP properly, you have to stop thinking in extremes. It’s neither a joke nor a guaranteed global standard. It’s a tool, and like most tools, it works best when used for the job it was built for.
